Exactly Why Do Employers Use Employment Agreements?

In today’s job market, employers have their selection of many qualified candidates. Many companies invest a significant amount of money and time into intensive training programmes for their employees so that they can meet the difficulties of the workplace.

Employment contracts often detail not only the financial and benefit expectations of the employer, but also those of the employee. However, while a wage and hour attorney can help provide things like salary and job security, they also possess the potential to restrict employees’ freedom of movement and make it more challenging for them to exploit opportunities elsewhere. Employees in today’s tight labour market would be wise to read over any proposed employment contract thoroughly before signing anything.

The Value Of An Employment Agreement

Under the “employment at will” doctrine, employers in Florida (and in many other states) are not obligated to maintain their workers and may terminate their employment at any time, for any reason, or no reason at all. According to the Bureau of Labor and Statistics, the at-will employment doctrine does not apply in the following cases:

• when the employee has a written employment contract;
• when the reason again for disqualification is contrary to public policy; and
• when the condemnation is made in bad faith or even when malicious intent.

As a signed contract can help ensure, job security is an important perk that many employees look for in a company. In 2013, Forbes released an article that outlined the standard clauses found in employment agreements.

Equity awards, where employees are given a particular amount of stock and other equity in the company, and golden parachute clauses, where employees are paid if their employment is terminated as a result of a buy-out or merger, are two examples of exceptions to the employment-at-will rule.

Reconsider Before Signing The Employment Agreement

You should be aware that along with the benefits that come with having a written employment agreement, there are also certain drawbacks that come with having one. The terms of an employee’s contract may place limitations on the worker’s ability to accept employment with a company that is in direct competition with the one for which they are currently working, despite the fact that state labour laws apply to every job. Workers may be required to sign a nondisclosure agreement in which they promise not to reveal any information related to the company’s trade secrets, procedures, or client list. Additionally, workers may be barred from working for a competitor or in a particular field for a predetermined amount of time if they violate the terms of the agreement.

The terminology that is used in the job description, remuneration, and benefit packages should give careful consideration to future costs that will be incurred by the employee. The language of your employment contract will often determine whether you feel free to develop professionally and personally in your area or whether you are hampered by excessive constraints in your path to advancement. In your capacity as an employee, you should never sign a contract without first having it evaluated by an attorney who has prior knowledge in business law.

Final Thoughts

Before signing any type of business agreement, you should consult with an experienced Florida employment agreement attorney. Business Law is the place to go for advice on how to safeguard your rights and interests in a new job, as well as answers to any questions you may have about the hiring process. They offer both the specialised knowledge in contract law as well as commercial disputes that you need and the personalised, comprehensive service that you need. Local customers can reach out to their contractual attorneys at any time.